“No one wants to pay for music” – Muve Music
February 29, 2012
Earlier this week it was announced that Muve Music had
passed the 600,000 subscribers mark and has become the second largest paid
music platform in the US behind Rhapsody.
How have they done this in just 12 months?
Well quite simply
they gave the music away for free. Muve is different from every other
model out there in that they give away the music service for free
as part of their overall package that includes essential services such as
voice, texting and browsing, the music is simply the cherry on top.
Muve Music’s Senior Director of Product John Bolton told the
Guardian "What's powerful about this offering is that the music feels
free," he continued “ "That's important, because no one wants to pay
for music. And one year in, we have 600,000 paying subscribers, making us the
second largest digital subscription service in the US."
Muve seem to have accepted that beating piracy is a losing
battle, and that you will find it extremely difficult to convince users to pay
directly for music, but how is their model different from other mobile carrier’s
attempts? Nokia’s ‘Comes With Music’ for example launched in 2008 and crashed
and burned in the UK and other western markets. However Muve are now displaying
signs of real growth in the US and have plans to take their model global. "Muve
Music is spinning off, and the goal is to get it working with other carriers.
The labels are very excited and want to see it go international: they see Muve
Music as the vehicle to take this model global.” Says Bolton.
How do you make money from digital music?
"The big question has always been how you make money
with digital music," "The answer
is you don't: you do it with other
things like a wireless service, and voice, data and text messaging. We feel
we've stumbled on something that's a real breakthrough."
Muve clearly see the future of digital music in a freemium
model attached to another paid service, whether this ‘other’ service can sustain
itself and its musical counterpart, where all necessary parties are paid the
correct royalty they are owed, is yet to be seen, but it is certainly going to
be one to watch over the next few months.
What do you think, can you realistically make money just from digital music?
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